ACTION ITEM 5A
Approval of Sodexo Personal Service Contract and Management Agreement.
On October 12, 2022, Kentucky State University’s Board of Regents, pursuant to KRS 45A.380, approved a declaration of emergency relating to campus facilities, maintenance, and custodial services.
As indicated by that declaration, Kentucky State University urgently requires onsite expertise in facility management to improve the use and maintenance of its assets, boost performance, and increase student and employee satisfaction—all while supporting the University's focus on sustainability and reducing environmental impact.
Sodexo’s facility management services will include onsite technical service management, asset management, building maintenance, access control, deep cleaning, energy management, space planning, project management, front-of-house services, grounds maintenance, waste management, HVAC systems management, mail management, commercial cleaning, workspace management, and pest control.
Sodexo possesses the professional insights needed to optimize Kentucky State University's assets, improve staff members' technical proficiencies, and elevate quality standards in the grounds, maintenance, and custodial services business departments. Securing the services of Sodexo will enable Kentucky State University to provide greater quality and standards to its students and employees, thereby ensuring that student and employee retention will continue to improve.
In its most recent budget, Kentucky State University allotted approximately $5,500,000 for facilities management and custodial services. Unfortunately, those budgeted funds were not used effectively, as evidenced by the University's inability to reach even an APPA 5 standard regarding its campus and facilities.
Sodexo has projected that the total first-year cost for its services will not exceed $3,305,964. For that amount, Sodexo has agreed to provide, inter alia, professional leadership, workflow system management, labor, software, and training. Current KSU staffing consists of 18 employees at a cost of $996,632, and operating expenses (i.e., electric, gas, water, contract services, etc.) currently total $1,439,172. Total FY 2023 projected operating expenditures for KSU facilities are $5.7 Million.
Additionally, Sodexo has agreed to raise the condition of Kentucky State University's campus and facilities from an APPA 5 to an APPA 3 standard—a considerable improvement over KSU's current state.
The exact first-year cost incurred by the University will depend on the services actually rendered by Sodexo; however, the total first-year cost shall not exceed $3,306,964 for the period of time between the contract's full approval and